Petronet-LNG to invest in SEZ in Kerala

Vol 10, PW 6 (13 Jul 06) News in Brief

Petronet-LNG is talking to the Cochin Port Trust to jointly develop a tax-free Special Economic Zone near the site of its proposed 2.5m t/y LNG terminal at Kochi in Kerala.

We wrote to Petronet-LNG last month asking it to be a co-developer of the SEZ, confirms Capt. Subhash Kumar, deputy chairman of the Cochin Port Trust, when contacted by this report.

They are interested and we have had a few meetings but we have not yet signed a MoU. Cochin Port Trust is behind moves to set up a special tax-free zone on 286 hectares of land near Puthuvypeen island and 115 hectares of land on Vallarpadam island.

Completion of the SEZ is targeted for 2012. We will get lots of benefits by becoming a co-developer, confirms Petronet-LNG.

This includes 100% customs duty waiver on equipment used to build the (LNG) terminal and no customs duty on R-LNG sold to companies in the SEZ.